European Central Bank Governing Council member Joachim Nagel said on Tuesday he believes the interest rates in the euro area should rise further as inflation is extremely high.
He noted that he could have envisaged a 50-basis-point rate hike at the last week's meeting of the ECB, but added that he is okay with a 25-basis-point move.
Also, the official said that the market is not always right when it comes to the ECB's terminal rate.